Hitman developer IO Interactive is apparently at work on a new fantasy property with Xbox.

That's according to Windows Central, with Eurogamer backing up the reporting, saying that they have heard that the Danish firm is working on a game that will be released under the Xbox Game Studios banner.

The project is reportedly a few years out, but will be set in a large medieval world and is set to feature dragons.

IO went independent from its previous owner Square Enix in 2017 and has recently released the final part in its Hitman World of Assassination trilogy. The company is also hard at work on a James Bond game, dubbed Project 007, and in 2019 signed a deal with publisher Warner Bros on a "new universe."

Speaking to GamesIndustry.biz recently, Abrak described a "third universe" that the studio is "working actively on," which could well be this Xbox IP or the project it has partnered with Warner Bros for.